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Excerpt from The Wool Situation: September, 1948
Prices of wool in domestic and foreign markets probably will remain at a relatively high level at least through 1949. The Agricultural Act of 1948 assures domestic wool growers of prices during 1949 as high.as in 1946, or approximately cents per pound, grease basis. However, as prices in foreign markets for the finer grades of staple wools probably will remain above the U. 3. Support level, growers of such wools may be able to obtain higher prices through direct sale to mills and dealers than through the price support program.
Immestic mill consumption of apparel wool during 1949 may be somewhat less than in 1948. However, consumption of wool of foreign origin may increase slightly as production and stocks of domestic wool are smaller. Owing to the higher replacement costs of foreign wools, stocks, particularly of domestic wools, in the United States are being lowered rapidly. If mill consumption during 1949 is maintained at the level now anticipated, imports of apparel wool are expected to be slightly larger than in 1948.
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